2. How do you verify your idea to work out
whether your chosen businesses are often
successful and support you achieve your
career goal as an entrepreneur? Here are
some processes to consider:
3. Determining a Viable Business Idea
1. Research the market.
- Search the web, visit libraries, and look for
industry reports’ information about costs,
competition, the size and viability of your
target market. Search for blogs, magazines,
trade journals, newspapers, and other media
intended at your potential customer base.
4. 2. Determine if there’s a paying customer.
- To have a successful business, you will certainly need to
solve a problem for a particular customer. But before resolving
on an idea, identify who your perfect customers are, what
income is, what their buying habits are, and how they create
purchasing decisions. You will get this information by
conducting surveys online, interviewing potential customers,
and examining for existing data on your demographic. Once
you compile the outcomes, you will have a clearer picture of
your paying customer.
Determining a Viable Business Idea
5. 3. Solicit honest feedback.
-Bounce your business idea off of your family,
friends, and peers to obtain some objective, real-
advice. Ask to prospective customers, local
storeowners, and even your competition (being
not to bargain your idea) to acquire their take on fair
pricing for your services and what they presently pay
or charge for them.
Determining a Viable Business Idea
6. 4. Consider your marketing strategy.
-Since you maybe have limited time and
resources, you want to make sure to get the most
bang for your marketing bucks. Fortunately, many
marketing strategies these days are fairly
Determining a Viable Business Idea
7. Determining a Viable Business Idea
5. Evaluate the costs of your venture.
-To make a sense of how many sales must be
generated to hide your expenses and
eventually bring in some cash, you will need to
know how much it costs to run your business
each month. The following may assist you
assess to answer those questions.
8. Cost of materials.
-How much will the cost of inventory, ingredients or
product components?
Cost of labor.
-If you’re doing the work yourself, what is your time
value? If you’re paying an employee, subcontractor or
freelancer to work, how much time and money will it take
that person to provide the product or services?
9. Overhead.
-A part of your daily business expenses, like phone,
electricity, rent, heat, insurance, water, accounting,
legal, admin support and marketing, should be
reflected in your pricing.
Pricing.
-Once you’ve calculated your costs, choose what
you’re going to charge your customers. Remember,
you must cover your costs and earn a profit on every
sale or you will end up out of business quickly
10. If you are doing the legwork, you will acquire better
understanding whether you have a viable idea to
make a profitable business. Most entrepreneurs turn
up with a business idea, organize a business plan,
raise the needed capital (either investors or personal
savings), then bring it to market and hope to survive.
Here are some ways to guarantee success and
profitability to start up a business:
11. Ways to Ensure Success and Profitability in
Starting a Business:
1. Start by identifying a customer you want to
attend.
-Begin by classifying the people you want to wake
up every day and trade your life to serve. This simple
first phase will ensure you will feel fulfilled and
satisfied as you begin an intense process of
launching your business.
12. Ways to Ensure Success and
Profitability in Starting a Business:
2. Exchange ideas to your customers.
-Once you have identified your ideal
customer, you have two options to consider:
you can guess what products or services they
want or need, or you can talk and ask them
what they want. Seems like a clear choice,
right?
13. Ways to Ensure Success and Profitability
in Starting a Business:
3. Let your customers create your business.
-Your customers are marketing geniuses, as
they can exactly tell the solution to solve their
pain.
14. Ways to Ensure Success and
Profitability in Starting a Business:
4. Presell your product.
- Identify the way you should charge for your
solution. Remember, your customers are
marketing geniuses. Ask them, “If I were to buy
something like this to market, how much would
this be?” Then ask them to pay for it upfront.
15. Ways to Ensure Success and
Profitability in Starting a Business:
You can offer incentives to them as a beta-user or founding member by
adding supplementary value to them. Here are some few ways to
consider:
A. Giving an intimate access to you as the founder. They will provide
feedback on the development of the solution that will help you both
customized your needs.
B. Offer to lock this starting rate in for the life. It is easy to detect
customer’s interest. But this is not enough validation to introduce
your business. If they are willing to put their money where their
doorway is, then you have confirmed your business and locked in a
customer base.
16. Ways to Ensure Success and Profitability
in Starting a Business:
5. Launch the business with sufficient funds.
-Once you have pre-sold avail enough to cover
your startup costs, you are ready to take action and
put up a business. This allows you to start with a
tough customer base that you can work closely with
to guarantee the product is exactly what they are
looking for.
17. Ways to Ensure Success and
Profitability in Starting a Business:
6. Create your MVP and let your customers develop it.
-Your job is to get a minimum viable product (MVP)
to your established members. If you have done a good
job setting opportunities, members are expecting to
give you feedback to enhance the product. Let them
help you make it better! You will end up with an
improved product, and they will feel emotionally
secured to you and the solution.
18. Ways to Ensure Success and Profitability
in Starting a Business:
7. Scale your business.
-It is time to scale the business. Some ways can do
this is by investing in marketing and considering
partnerships and joint ventures. You can assure invest in
these areas because you have a product that are
created for your ideal customers. This means you are
not predicting it will work - you know it will work
because your customers stated you so.
19. If you are ready into entrepreneurship, follow
some steps to assure your success and
profitability.
Knowing Your Customer Needs or Achieving
Customer Requirements
-Though good your product or service is, the
simple truth is that no-one will buy it if they
don't want or e they don't need it. You won't
convince anyone that they want or need to buy
unless you clearly understand what it is your
customers really want.
20. Why do your customers need you?
- Every business needs a purpose for their
customers to purchase from them and not their
competitors which is often called a Unique Sales
Proposition (USP). Your USP can be acknowledged by
completing the phrase "Customers will buy from me
because my business is the only..."
21. The Customer's Current Supplier
- Chances are your prospective customer is already
purchasing something the same to your product or
service from someone else. Before you can sell it, you
need to know the following:
who the customer's current supplier is
if the customer is satisfy with their current supplier
if it can offer the customer any benefits - and, if so,
what those benefits would be.
22. You need to know first your prospective
customer. Here are some tips:
1. Who they are.
-Find out your customers' demographic profile
such as their gender, age, marital status and
occupation. If you sell to other industries, find out the
size and kind of business they are. For example, are
they a small private company or a mega corporate
company?
23. You need to know first your prospective customer.
Here are some tips:
2. What they do.
-If you sell a product directly to a customer, it
is better to know their occupations and
interests. This will help you to have an
understanding of what their business is trying
to achieve.
24. You need to know first your prospective
customer. Here are some tips:
3. Why they buy.
-Knowing why customers buy a product or
service can be easier to identify their needs to
the benefits your business can offer.
25. You need to know first your prospective customer.
Here are some tips:
4. When they buy.
-Approaching a customer just at the time
they want to buy, will massively increase your
chances of success.
26. You need to know first your prospective customer.
Here are some tips:
5. How they buy.
-Some people prefer to online, while
others prefer a face-to-face meeting are
some ways to purchase their product
27. You need to know first your prospective customer.
Here are some tips:
6. How much money they have.
-Business can be more successful if you can
match you’re offering to what you know your
customer can afford.
28. You need to know first your prospective customer.
Here are some tips:
7. What makes them feel good about buying.
-If you know what makes them comfortable,
you can serve them in the way they prefer.
29. You need to know first your prospective customer.
Here are some tips:
8. What they expect of you.
-For example, do not disappoint customers
expecting reliable delivery from you, stand to
gain repeat business.
30. You need to know first your prospective customer.
Here are some tips:
9. What they think about you.
-Customers likely to buy more if they enjoy
dealing with you. And you can only solve
problems if you know what they are.
31. You need to know first your prospective customer.
Here are some tips:
10. What they think about your competitors.
-Know your customers view your
competition, you stand a better chance of
continuing ahead of your rivals.
